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The Republic of Cyprus offers a wide range of business advantages and tax benefits, and that is why many international companies choose the island as their base to carry out their operations.

Our administration department may undertake quickly and efficiently the incorporation of any company and offer a wide range of corporate services to multinational clients.

Corporate services:

We provide consultation and administrative support to foreign clients who wish to establish an International Business Company (IBC) in Cyprus, and we undertake the drafting of a Memorandum and Articles of Association and all other documents required to get any business started.

Derivative Actions

For Minority Shareholders, (Claims and Protection)

  • In case that the personal rights of a shareholder are for some reason infringed, for example the company has acted illegally or ultra vires and/or did not comply with the requested procedures, a Personal Action can be raised against the said company.

 

  • Derivative Action: It usually applies to cases of fraud, when the claimant's right of action derives from the company, but the company itself does not pursue legal action. In case that the claim is successful, any compensation received for damages caused shall be diverted to the company, even though the shareholder brought the claim before Court.

 

  • A group litigation may address the infringement of the rights of not just one shareholder, but several shareholders within a company.

 

Board of Directors conflicts:

Depending on the duty breached by a director, the liability varies. If a director breaches his/her duty to act in good faith or with reasonable skill and care, claims for damages shall arise and the director shall be held personally liable to the company.

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Management Disputes:

 

Shareholders often disagree with one another and that is a normal occurrence in a company where several people invest money. Conflicts usually arise as shareholders and partners do not meet in person, and despite their good relationship at the beginning, when time passes and operations expand, critical decisions shall be made that cause changes in their relations.

An offshore company is: 

 

a business established in a country different to the one that the owner lives and pays taxes in. An offshore company can be established in one or more countries and the main grounds for setting up an offshore company in Cyprus are the protection of assets and tax reduction.

An Offshore company is established mainly for two reasons.

1) Setting up holding companies: for companies looking to expand into more countries, Cyprus is the ideal place to set up a parent company.

2) Setting up trading companies: to benefit from low corporate taxes (12,5%) and 0% dividend tax as well as low company management fees, Cyprus is the ideal place to set up a trading company.

The offshore model is the best for foreign investors who want to register their companies in Cyprus in order to make transactions in other countries. Holding companies in Cyprus are subject to a special tax regime and may benefit from various tax exemptions.

Our firm specialises in the incorporation of new companies and may provide you with more details about the special tax regime and the establishment of an offshore holding company in Cyprus, bearing in mind that these companies are not allowed to carry out any trading activity whatsoever on the territory of Cyprus.

LANDLORD

& TENANT LAW

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